AMP Wealth Management New Zealand Limited (AMP) is constantly looking at ways to add value and optimise investment options for members. It is important to them that they deliver on their proposition to their clients, which includes fund performance, fund options, all whilst being fee conscious. As such, AMP regularly reviews its third-party managers to ensure that they continue to deliver good outcomes and value for money for their members.
If you are invested in Nikko via AMP NZRT, you would have recently received a communication from AMP along the lines of the below.
Based on the most recent review the decision has been made to change the underlying manager of the Nikko AM funds to AMP with the aim of improving customer outcomes and reducing costs. This means that as of 12 February 2024 all Nikko AM funds will be closed to new investors. Existing members can continue to invest and make contributions into these funds or opt to invest in any of our other funds within the AMP KiwiSaver Scheme and the New Zealand Retirement Trust. We intend to transition management of the underlying Nikko AM funds to AMP during the first half of 2024.
What does this mean for members?
The underlying fund manager will change to AMP.
There will be a reduction in annual fund charges.
The Nikko AM fund names will change to AMP as highlighted in table below:
As of 12 February 2024, Nikko AM funds will be closed to new investors.
There will be changes to the strategic asset allocation of the funds.
The investment objectives and policy of each fund will change.
The Plan rules for NZRT remain the same.
There is nothing you need to do.
In addition to the AMP branded funds, AMP continues to offer a selection of funds offered by third party managers (Milford, ANZ, SuperLife & Mercer), with a range of different investment styles and philosophies which are available to choose from.
We at Lifetime think that this is an opportune time to discuss the importance of being in the right fund for your personal circumstances, and we recommend that you talk to your Financial Adviser or if you do not have one, as part of the arrangement Lifetime has with the Judiciary, you can talk to a Lifetime Financial Adviser. For further information on the Judiciary Lifetime Planning service please click on the attached link.
If you would like to talk to utilise the Lifetime Financial Planning Service , please contact Michelle Blacktop michelle.blacktop@lifetime.co.nz or 027 289 5440, who is your dedicated Group and Employee Benefits Specialist. Michelle will arrange for a Lifetime Financial Adviser to get in contact with you. It is important to make sure that your investment strategy remains appropriate.